TransMedics Group, Inc. (TMDX) saw its stock price surge 7.68% in after-hours trading on Tuesday, following the release of its fourth-quarter and full-year 2025 financial results.
The medical technology company reported Q4 2025 revenue of $160.8 million, representing 32% year-over-year growth and beating analyst expectations. Net income for the quarter reached $105.4 million, significantly boosted by an $83.8 million tax benefit related to the release of a valuation allowance on deferred tax assets. The company also provided strong guidance for fiscal year 2026, projecting revenue between $727 million and $757 million, representing 20% to 25% growth.
Key drivers behind the positive results included increased utilization of its Organ Care System (OCS), especially in liver and heart transplants, and the expansion of its aviation fleet to 22 owned aircraft. The company's Q4 gross margin was 58%, and it completed 5,139 U.S. OCS cases in 2025, a 38% increase year-over-year.